Community Affairs Officer's note - Issue 2, 2003

Community Affairs Officer's note - Issue 2, 2003

Progress in our core urban neighborhoods

This edition of Community Dividendis a goodbye of sorts.
I am pleased to announce that, effective in 2004, Community Affairs
Manager Jacqueline Nicholas will become Community Affairs Officer
(CAO) for the Federal Reserve Bank of Minneapolis. Her promotion
to assistant vice president and CAO is recognition of the experience,
dedication and enthusiasm she brings to our team. As vice president
over Community Affairs, my own involvement in the Minneapolis Fed's
community development initiatives and research will continue, but
in a less visible way.

This issue's cover story focuses
on a cause for optimism in our work: The 1990s saw dramatic drops
in poverty rates and concentrations in the Twin Cities, and evidence
supports the idea that the Midwest's broad-based economic growth
was a key force behind the decreases. By implication, the Federal
Reserve System's core mission—maintaining a monetary policy that
supports long-term growth in incomes—provides a necessary foundation
for poverty reduction and neighborhood improvement. Metropolitan
and local governments, community and economic development organizations,
and ordinary citizens build upon that foundation by strengthening
local institutions that facilitate full participation in the economy
by all members of the community. Although many hardships persist
and much remains to be done, the progress against concentrated poverty
in the 1990s gives hope that if the economic foundations and institutional
support structures are in place, the future of America's urban areas
can be bright.